Condo is a single family community housed in a community; NOT an AirBnb

A Condo Building is a combination of many Single Family residences.
NOT a hotel or Bed and Breakfast. It is not a Bnb

Its Not an AirBnb. It is a single family residence

In a recent case, Louiseize v. PCC No. 103, a condominium owner who knowingly breached the “private single-family residence” restriction in the condominium declaration for almost 14 years, was given 9 months to bring his units into compliance with the declaration.

From the time that he bought his units (which were purchased in 2001, 2003 and 2004) they were leased to multiple unrelated tenants and the owner failed to provide the condominium corporation with the names of the persons occupying the units, as required by section 83 of the Condominium Act, 1998 (the “Act”). Although the condominium corporation sent the owner the occasional notice reminding him of the restriction and requesting the names of those occupying the units, the corporation did not take any steps to enforce the declaration until 2013.

This case was originally heard by an arbitrator. After noting that the unit owner had knowingly breached the declaration and that the condominium corporation had for years breached its statutory duty under section 17(3) of the Act to enforce the declaration, the arbitrator gave the unit owner 9 months to bring the units into compliance. The arbitrator found that the the existing tenancies could be terminated with 60 days’ notice and that the units could be readily rented in compliance with the declaration, although this would result in a decreased rent of about $600 per unit per month.

The unit owner appealed the arbitrator’s decision and sought to have the order varied so that he would be allowed 75 months to bring two units into compliance and 55 months to do so for the other unit. The Superior Court of Justice found that the arbitrator had not made any errors in law and that the 9-month time period given by the arbitrator was reasonable. The unit owner did not provide any evidence as to why he needed a period of approximately 5 years to wind down his existing leasing arrangements. In addition, the unit owner had benefited financially by the corporation’s failure to promptly enforce the declaration.

The declaration also contained a non-waiver clause that stated that “the failure to take action to enforce any provision contained in the Act, this declaration . . . irrespective of the number of violations or breaches . . . shall not constitute waiver of the right to do so thereafter, nor be deemed to abrogate or waive such provision.” The unit owner unsuccessfully claimed that this non-waiver clause was contrary to section 17(3) of the Act as it was unreasonable for the corporation to enforce the declaration after acquiescing to the breach for so many years.

While the condominium corporation was ultimately successful in this case, it would have been in a stronger position had there not been such a long delay before it took steps to enforce compliance. When condominium boards become aware of any non-compliance with the condominium documents or the Act they should be taking steps to enforce compliance sooner rather than later.

http://www.lashcondolaw.com/enforcing-single-family-restri…/

When you moved in you agreed to abide by the Rules and Regulations of a condominium community. Once Rules are enforced you will also pay the legal fees to comply.

Condominium Ownership ~ WHAT you need to know!

Are ALL real estate agents like this?

Real Estate Industry

Consumer education is not a hallmark of Canada’s real estate industry. Purchasers are commonly warned that insisting on a home inspection may jeopardize their offer, and there is little, if any, formal training in building technology required to become a real estate agent. Explaining the potential pitfalls of a glass condo tower building may be in the best interest of the buyer, but not the agent. How much should real estate agents know about buildings, and how much of this should they divulge to prospective buyers? One way to approach an answer to this question is to compare what real estate agents charge for their services compared to the architects who design the buildings. Typically, real estate agents receive a 5% commission on their sales, whereas architects receive on average approximately 8% of the value of the building as their total fee, which is shared with their engineering consultants. Architects are obliged to know everything about the buildings they design and are professionally liable for errors and omissions. They must also provide expert opinions to their clients for all aspects of the buildings they design.

Why should real estate agents not be required to possess a competent knowledge about the buildings they are selling?

Buyer beware would not be considered an ethical position for architects and engineers serving the public. Compared to all of the work involved in designing and specifying the various components, assemblies and systems that make for a modern building, it is not unreasonable to expect real estate agents to be forthcoming with vital information about the durability and operating costs of the buildings they are selling. Explaining the potential problems associated with glass condo towers that have been identified by technical experts to their prospective buyers, would be no different than a general practitioner explaining the risks associated with certain medications and procedures to their patients. The real estate industry has not taken a proactive approach to such issues yet it is usually the first point of contact for consumers of real estate.

http://www.cbc.ca/toronto/features/condos/pdf/condo_conundrum.pdf

Would you like to talk about Tarion? Reserve Fund Studies or Performance Audits?

I have condo Board experience as well.

#askPylyp

http://davidpylyp.com

Condominium Ownership WHAT you need to know!

http://www.millerthomson.com/assets/files/article_attachments3/MT_A-Residents-Guide-Living-and-Buying-a-Condominium_A-Loeb.pdf

Humber Bay Shore Proposed Pavilion

Humber Bay Parks Master Plan and Pavilion Project

On February 16th, the City held its first public consultation on this project, which featured a new 12,000 square foot Event Pavilion in Humber Bay Park East. Residents had serious concerns about the impact such a large Event Pavilion would have on the park’s flora and fauna. You are invited to read more about the project and submit your comments at toronto.ca/humberbayparks - Deadline for comments is March 8.
The next public consultation is slated for summer 2016.

Humber Bay Shore A City of Condominiums

The Humber Bay Shores is a veritable city-within-a-city of condominiums at the foot of the Humber River. This desirable location sits right on the waterfront with exquisite views of the lake and Toronto skyline. http://www.metronews.ca/your-home/toronto/2016/02/25/humber-bay-a-growing-city-within-a-city-.html

It is home to 25,000 residents.

.... plans are underway to create a pedestrian-friendly promenade along Marine Parade Drive, a waterfront walkway originally planned in 1890, with shops and restaurants across 20 acres of waterfront property. [Martin Goodman Trail http://www1.toronto.ca/parks/prd/facilities/complex/2054/ ]

Which Condo would you like to see?

http://www.Humberbayshore.com

I love living here!   Would you like to?

Call me!

David Pylyp

647 218 2414

Smoking in your Toronto Condo? DENIED

“The old adage that ‘a man’s home is his castle’ is subordinated by the exigencies of modern living in a condominium setting.  Living in a condominium necessarily involves a surrender of some degree of proprietary independence and owners are subject to the collective’s bylaws and rules. At the same time, owners have the benefit of the bylaws and rules which provide a measure of control over their environment.”

New Laws coming within the By Laws that you can't smoke within your own condominium unit. 

The British Columbia Supreme Court recently ordered a condominium unit owner to cease smoking in his unit in contravention of the strata corporation’s bylaws. The unit owner was a 70-year old “life-long smoker”, who purchased his unit in 2002. In 2009 the strata corporation passed a bylaw which prohibited smoking in the building, including in the units. However, the corporation did not attempt to enforce the bylaw against the unit owner until 2013, after receiving complaints from other residents. Numerous notices of violations were sent to the owner, detailing the days and times when he was alleged to have smoked in the unit. As the British Columbia governing legislation permits strata corporations to impose fines on non-compliant owners, the unit owner was fined for his numerous violations and at the time of the court hearing the fines (which were unpaid) amounted to $2300. Despite the notices of violation and the fines, the owner continued to smoke in his unit. For that reason the strata corporation sought a declaration from the court that the owner was in contravention of the bylaw and an order that he immediately cease and desist from contravening the bylaw. The strata corporation took the position that the owner’s ongoing smoking in the unit: § caused a nuisance and disturbance for other residents; § created health risks relating to second-hand smoke; § increased the risk of fire; § diminished the other owners’ use and enjoyment of their property due to the smell of smoke; § negatively affected property values; and § encouraged other residents to ignore the bylaw. While the owner admitted that he smoked in his unit, he disputed the number of violations and claimed that he was being discriminated against due to his addiction to smoking and mobility problems which he claimed prevented him from walking off the strata property in order to smoke. Consequently, the owner filed a complaint with the British Columbia Human Rights Tribunal, claiming that his addiction to cigarettes and his mobility problems constituted a disability that the corporation was obligated to accommodate. The human rights case had not yet been heard when this decision was delivered. As the owner admitted that he did smoke in his unit, the Judge readily concluded that the owner repeatedly breached the no-smoking bylaw. After noting that there were repeated violations of the bylaw by the owner, and that the strata corporation and the other owners had a reasonable expectation that the no-smoking bylaw would be enforced, the Judge ordered that the owner immediately cease and desist from smoking in his unit in contravention of the bylaw. “The old adage that ‘a man’s home is his castle’ is subordinated by the exigencies of modern living in a condominium setting.  Living in a condominium necessarily involves a surrender of some degree of proprietary independence and owners are subject to the collective’s bylaws and rules. At the same time, owners have the benefit of the bylaws and rules which provide a measure of control over their environment.” As noted by the Judge on more than one occasion, the owner did not challenge the validity of the bylaw. (In its zeal to impose the smoking prohibition, the corporation did not offer to grandfather any existing owners who smoked for as long as they continued to reside in their units.)  Had the owner challenged the validity of the bylaw itself, the outcome of this case may have been different.  It will be interesting to see the decision of the Human Rights Tribunal, especially in view of the fact that human rights legislation prevails over other legislation in the event of a conflict. If you live in a condo you agree to live by Condo By Law Rules

Exposed ONLINE Getting Viewed

How can you attract fresh eyes to your condo listing?

They are all the same right?

What if you could travel through your screen to every nook and cranny of each room; check the views from each window, take a walk in the kitchen before you go see the unit.

Virtual Image Technology; 3D Imaging is available right here in Toronto today!




The engagement from Viewers in 4 - 5 Times Higher than with a regular virtual tour and just shames those animated slide show viewers that are so 1999.

Engagement Increases as Condo Buyers share the virtual imaging Tour with their friends family and co workers. 

Call to book your Virtual Tours http://DigitalImagingToronto.com

Virtual Tours are included by tech savvy and Social Media Active Agents.

Your virtual Tour is available without charge included in the Bundle of Services provided by David Pylyp, Sales Representative, RE/MAX Realty Specialists Inc., Brokerage 416 232 9000.

Serving Etobicoke and Toronto. 

Condo Reform in Ontario

NDP government wants changes to the Condominium Act to better protect consumers.  To recap;

• An independent  Condo  office  to hear  disputes quickly  & cheaply  instead  forcing  condo  owners  into the courts  
• Mandatory  licensing of condo  managers
• No  more "weasel clauses"  buried  in condo purchase  agreements: condo  buyers  should  be able  to know exactly  what  they  are  buying  and  how  much  it will cost,  and  they  should get  what  they  were promised
• Standard plain-English  language  for condo  Declarations  and purchase  agreement  
• No  more  rogue  boards: greater  transparency,  financial accountability, better governance, education and support for condo  boards.  
• No more falling glass, leaky  windows or paper-thin  walls: update  Building  Code  and  reform  TARION  to  protect condo residents along  with  all  new  home  buyers

That all sounds good!    Good for the consumers!   Great for Buyers!

Di Novo Condo Reform by David Pylyp

I wrote about this previously in a Condominium Investors forum
https://plus.google.com/+DavidPylypToronto/posts/4RC8EihvpgX

The questions to clarify first are;


We will be creating a QUASI judicial board staffed by WHOM? Judges, Lawyers? Political Appointees?    We will need to build Government Offices house all the Hearing Rooms and Dispute Mediation Councillors .  DO we need to be licensed and insured to appear in front of these committees?

How will this be paid for?   Ahhhhhh ...  a small surcharge of $5 - $10 per month, in the beginning and then....  application fees per program applied for.  

I agree with Licensing Standards and a complaint process for Condo Boards and the Management Companies that provide onsite management.  That is a Small Claims Court function where claims of injustice are heard by Lawyers and Judges.

There is a reference to Building Standards, Tarion and Falling Glass.  All these things are governed by the EXISTING Condominium Act, Tarion Warranty and Building Codes that exist in each City.  Does this mean that Toronto has poor building codes?  I think not. The Ontario government and Tarion already have a relationship. Buildings pay for Performance Audits for Engineers to examine drawings and determine if what was purchased as delivered.  Committees of Developers, Builders, Tarion and the COndo Board plus their lawyers MEET in person to discuss Audits and inspections.

Rogue Boards and Transparency;  The biggest problem is that Purchasers of condominium suites want to bend the Rules and Regulations to suit their needs after they move in, instead of investigating the BY LAWS with the ir lawyer. prior to purchase.

The BIGGER QUESTION to ask is "Do we want another level of Government [ like the Landlord Tribunal ] to hear dispute resolution matters between condo boards and the owners at the expense of those very same condo owners?"

Whatever is created in haste is difficult to unravel.

"Once Done.  Cannot be undone.... "    Captain Jack Sparrow  

Condo Selection Criteria

What's a good deal?
    Do you like the style is just part of the process?
    Is it a presentation package with floor plan?
    Proposed Expenses?

How do you define what is or is not "LOW" maintenance fee? 
How do you define best value? 
Are 1 + 1's better than two's? 
What is the mix of units in the building? 
How many are on a floor? 
How many are rented? 
Is there parking for each unit + parking for guests? 
Is there a community surrounding that condo cluster that has walk-ability? 
How many requisition meetings have been held? 
Is the Performance Audit and Reserve Fund Study complete? 
As a second time buyer [for investment] does buying 416 and paying extra LTT bother you?

Contribution to Reserve Fund is calculated by an inspection of the Building by Professional Engineers. This report is called a Performance Audit. The receipt of this report calculates the Remaining Economic Life of each building component.  The result of this, is the Cash Flow Reserve Fund contribution which explains when things need to be replaced as they wear out.

Reserve Fund Studies will be conducted every 5 years in accordance with the Condominium Act. 

Forcing a BAD Neighbour to Move out of Condo

Condo Buildings have Rules and Regulations that you agree to follow;  A community is formed when neighbours generally get along with their neighbours.  Examples like this are why there is a need for Workplace Health and Safety Guidelines about Harassment, intimidation and threats.

Condo Buildings in of themselves have no employees.   Everyone onsite is an employee of another company contracted to the building.

Getting Rid of a Difficult Condominium Unit Owner In a recent case, Peel Condominium Corporation No. 98 v. Pereira, a condominium corporation made a court application pursuant to section 117 of the Condominium Act (the “Act”) seeking an order that a unit owner be required to sell and vacate his unit, due to the manner in which the unit owner had conducted himself over a number of years. There were numerous complaints about this owner going back to 2003. During the period between 2003 and 2006, management wrote a number of letters to the owner on various issues, all of which appeared to have been rectified.
Starting in 2010, there were a number of new issues concerning this owner’s behaviour on the condominium property, including the following:
tossing cat litter and feces from his balcony onto the ground below on multiple occasions and, on one occasion, actually striking a contractor on the head with cat feces;
installing a mesh screen on the balcony;
assaulting a previous superintendent;
removing a bench from the corporation’s lobby, without consulting or receiving any consent from the board of directors or management;
throwing a stepladder at the building superintendent;
verbally assaulting and swearing at the superintendent and numerous residents of the condominium on many occasions.
The court determined that the owner did, in fact, throw cat litter and feces and that the unit owner had behaved in an inappropriate and abusive manner, including the use of threatening and offensive language. The court further concluded that the owner had breached sections 117 and 119(i) of the Act.
However, after reviewing the case law and, in particular, the landmark case of Metropolitan Toronto Condominium Corporation  No. 747 v. Korolekh, the judge determined that the unit owner’s behaviour fell short of what was required in order to grant the corporation an order requiring that the unit owner sell his unit. (The court also declined to order that the owner’s cat be removed from the property – it certainly was not the cat that was throwing the litter and feces over the balcony!)
Instead, the court imposed the following orders on the unit owner:
to pay an outstanding charge of $169.50 within 30 days;
to prohibit the unit owner from throwing any objects from his balcony;
to comply with the Act and the condominium documents;
to refrain from verbally or physically assaulting or intimidating, threatening to assault or intimidate any person on the condominium property; and
to refrain from engaging in any disruptive behaviour which would interfere with the quiet enjoyment and use of the units and condominium premises by the other residents and occupants.
No doubt the condominium corporation was disappointed in not being able to get an order requiring that the owner be required to sell his unit. Cases of this nature are very fact specific. As a court order requiring that a unit be sold is considered to be an extraordinary remedy to be used only rare cases, it appears that in some cases the courts are willing to give owners a chance to “clean up their act” and behave appropriately and comply before being ordered to sell their unit.
- See more at: http://www.condoreporter.com/getting-rid-of-a-difficult-condominium-unit-owner/#sthash.LgJSj53H.dpuf

Join into the conversation in your building.  Join a Committee. Become involved on a Condo Board.  Participate. so that you understand the lifestyle choice you have made.

Condo Corp applies the money you owe where it likes first

If you are behind and have other claim or insurance items outstanding with a Condo Corporation in Ontario;  Case law is clearly on their side.

Owner had set up a pre-authorized payment plan for her common expense payments. In addition to falling behind in the payment of several monthly common expense payments, the owner also was indebted to the Corporation for two chargebacks. One was for plumbing services relating to a leak which the Corporation claimed emanated from the owner’s unit, and the other related to damage caused by the owner to the common element garage door. A lien was then registered against the unit, a notice of sale was issued and the Corporation subsequently commenced an action for possession of the unit. By this time, the Corporation claimed that the total amount owing was in excess of $42,000. This included arrears of common expenses, the two chargebacks, legal costs relating to the lien and the sale proceedings, plus interest. 

This case  is reassuring for condominium corporations as it upheld the practice of most condominium corporations: allocating common expense payments to the oldest indebtedness, including chargebacks. 
http://www.condoreporter.com/allocation-of-common-expense-payments-by-condominium-corporations/


What's the moral of this story? 

Coverage for Special Assessments

Why Should you be Scared?

Why should you be afraid of Special Assessments? You can have coverage.

You can indeed get coverage for Special Assessments in a Condominium
1) You are covered; If through the Title Insurance it was OMITTED from the Status Certificate 
2) You are covered; Through your Home Insurance Coverage 

 II.  SPECIAL ASSESSMENT INSURANCEA unit owner can also obtain insurance coverage specifically for special assessments. This coverage will benefit a unit owner in circumstances where a condominium corporation suffers an insured loss, the insurance proceeds are inadequate to cover the costs, and the corporation levies a special assessment for the difference. This would only occur in very unusual circumstances.
A real life example involves a condominium corporation that incurred environmental clean-up costs because of a heating oil leak into the common elements. The town home units in this condominium had oil tanks that were buried in the common elements, which serviced each individual unit’s furnace. Pipes ran through the concrete basement floors of the units from the heaters to the oil tanks. As a result of a pipe break, oil seeped into the ground and the resulting environmental clean-up cost was over $300,000.
- See more at: http://www.condoreporter.com/special-assessments-insure-your-risk/#sthash.AJsAjsce.dpuf

If you have not requested this coverage from your Independant Insurance Broker  I suggest you pick up the phone immediately and call someone who knows.

 

Coverage Chart – Condominium

Condominium Protection	Comprehensive
.
Insured Perils	All Risks
Unit Improvements and Betterments Unit Additional Protection Common Elements Loss Assessment	$500,000 Single Limit Limit is per occurrence for any one or combination of these coverages   $1 million condominium protection available
Building Fixtures and Fittings	10% of single limit

. 

 

 

Will Chan, B.A., FCIP, CRM   Branch Manager (Mississauga)  Pacific Insurance Broker Inc. 

(P) 905-565-5565 x 118  (F) 905-565-5562  (C) 416-844-7660 www.pacins.ca

Contact Will at William Chan <wchan@pacins.ca>

If you are looking for professional representation in the Toronto Condo Market call David 

Pylyp    647.218.2414

Humber Bay Shore Condos Provide strong ROI

For those who are concerned about a "bubble" there needs there needs to be an excess of inventory that causes Toronto condominium to go vacant ( without a tenant ). There seems to be a continuing population growth in Toronto, Ontario that IMHO is summed up as safe have and educational / vocational opportunity.

This is borne out by many years of competitive markets not only for condominium purchasers but also renters.  New buildings  ( mini communities IE Beyond the Sea, Windermere by the Lake or Eau de Soliel ) are attracting buyers worldwide. Stable and Low Mortgage Rates are just feeding the buying.

The rental market in Toronto condominiums is heating up, with increasing numbers of units being leased rather than sold and rents continuing to rise in the first quarter of 2013, an analysis by the market research company Urbanation suggests.
There were 31 per cent more condo units leased in the first quarter than a year ago, Urbanation found, and rents were up 4.4 per cent, a gentler jump from the 5.9 per cent increase that occurred between the first quarters of 2011 and 2012 but still a significant rise, said Pauline Lierman, Urbanation's director of market research.
The average rent was $1,856, or $2.33 per square foot, in the first quarter compared to $2.11 in Q1 2011.
That jump in rent of more than 10 per cent in two years is mainly a product of demand, with the most desirable units in downtown locations close to transit lines and amenities, Lierman said.
"The vacancy rate is barely over one per cent for rental condominiums," Lierman said. "The market has remained tight." http://www.huffingtonpost.ca/2013/05/14/toronto-condo-rents-soar_n_3274279.html?utm_hp_ref=canada-business

In my own experience I have observed that condos are renting for half their purchase price divided by 100 to calculate monthly cash flow. For example at $400,000 for a well appointed two bedroom, two full bath unit, it is not uncommon to seek rents at $2,000 to $2,200 depending on building amenities. [ 400k divided by 50% then divided by 100 results in a rental of $2,000 per month ]

With average downpayments of 35 - 40% Investors can calculate a reasonable ROI   compared to keeping money in the bank or a GIC.

With restricted credit policies and aging buyer demographics larger homes eventually will fall out of favour by cost and size.  Then add in a vacancy rate near 1%,  Condo investors are looking at the upside of holding their investment long term and that is what real estate is all about. 

Would you like to invest in a few condos?   Call me. 

The Location Should be Secret 1926 Lake Shore

Photo Cred; Urban Toronto

It should be kept a secret because these towers that are situated at the foot of Windermere and Lake Shore, Carterra, Windermere by the Lake, NXT and Park Lake Residences are all on the East side of the Humber River Bridge.

You know that traffic bottleneck at the QEW and Lake Shore? But these buildings are all on their own traffic signals and easily access Lake Shore Boulevard with a 10 minute Drive to Union Station. 

Looking through the renderings the building will have an internal traffic roundabout with exits to Lake Shore Blvd., and Windermere.

backgroundfile-57846 by David Pylyp

The renderings describe the redevelopment of [Four Points by Sheraton] 1926 Lake Shore Boulevard West with two residential towers of 42 and 48 stories connected by a 4 storey podium. The proposed development would contain 847 residential units and have a floor area of over 78,600 m2, representing an FSI of 17.6 times the lot area.

Floor Plans are not yet available but I can assume they will be out shortly.

Ideal Location along the Western Beaches....

What do you think?

Rental Apartment Finance Guideline Update 5.2013

Product:  Rental financing
In addition to max. 75%LTV on a rental unit. We’ve made some changes to our policy. Here it goes:

For the purpose of confirming gross rental income, expired leases can be accepted with the addition of one of the following:

·         Signed acknowledgement from the tenant confirming rental/lease agreement is still in effect; or

·         Copies of the last 3 months of cancelled cheques; or

·         Evidence of the last 3 months of rental deposits in the account

If applicant owns 1 rental property (maximum 1 unit), either:

·         50% of the confirmed gross rental income can be included as income and full principal, interest, (property) taxes and heating (PITH) for the subject rental included in liabilities; or  Rental worksheet can be used to calculate the rental property Debt Service Ratio Owner occupied rental properties included

Opinion of Market Rent is acceptable for purchase and refinance transactions up to 65% LTV

Td economics:

·         The past week saw the TSX, most commodity prices and the Canadian dollar versus the U.S. dollar, all make up ground. However, all three still remain underwater so far in 2013. That is consistent with Canada’s economic under performance versus the United States.  

·         February’s retail sales data were consistent with a more modest performance in consumer spending north of the border, as trend sales have slowed in both real and nominal terms. Moreover, the lack of pricing power at the retail level speaks to increased competition in the face of softening demand.  

·         This difficult retailing environment is likely having an influence on small business confidence, which slipped further in April, according to the CFIB’s Business Barometer. Particularly since insufficient domestic de­mand is cited as the main limitation to small business growth.

Have a great week!

Romy Alegria | Manager, MMS | TD Canada Trust

P: 416.278.2540 | F: 1-866.222.5708

E: Romy.Alegria@td.com

W: http://mms.tdcanadatrust.com/romy.alegria

 There you have it!

New guidelines for a Rental ( Investor) Purchase of a Toronto Condo Unit.

Downpayment are firmly at 25% or at 35% with Opinion of Value Letters.

Are you looking for an investment to hold long term?

Vacancies are continuing at 1.5% or less.